UPSC Prelims Practice Questions — What goals does Semicon 2.0 aim to achieve?

Q1. Among the schemes cleared by the Union Cabinet on 15 July 2026 as part of its electronics and semiconductor package, which one carried the single largest budgetary outlay?

  • A. Semicon 2.0 (India Semiconductor Mission Phase 2)
  • B. Mobile Phone Manufacturing Scheme (MPMS)
  • C. Electronics Component Manufacturing Scheme (ECMS)
  • D. Modified Special Incentive Package Scheme (M-SIPS)

Q2. With reference to the schemes approved by the Union Cabinet on 15 July 2026, consider the following: 1. Semicon 2.0 was cleared with an outlay of Rs 1,27,500 crore. 2. The Mobile Phone Manufacturing Scheme was cleared with an outlay of Rs 62,500 crore. 3. Semicon 2.0 constitutes the first phase of the India Semiconductor Mission. 4. The Mobile Phone Manufacturing Scheme succeeds the PLI Scheme for Large Scale Electronics Manufacturing. Which of the above is/are correctly identified?

  1. Semicon 2.0 was cleared with an outlay of Rs 1,27,500 crore.
  2. The Mobile Phone Manufacturing Scheme was cleared with an outlay of Rs 62,500 crore.
  3. Semicon 2.0 constitutes the first phase of the India Semiconductor Mission.
  4. The Mobile Phone Manufacturing Scheme succeeds the PLI Scheme for Large Scale Electronics Manufacturing.
  • A. 1, 2 and 4
  • B. 1, 2 and 3
  • C. 2, 3 and 4
  • D. 1 and 3 only

Q3. Consider the following statements comparing Phase 1 of the India Semiconductor Mission with Semicon 2.0: 1. ISM Phase 1 was approved in December 2021 with an outlay of Rs 76,000 crore, whereas Semicon 2.0 carries an outlay of Rs 1,27,500 crore. 2. Unlike Phase 1, Semicon 2.0 lays out an explicit technology roadmap targeting 3-nanometre and 2-nanometre nodes. 3. Phase 1 was approved by the NITI Aayog, whereas Semicon 2.0 was approved by the Union Cabinet. Which of the statements given above is/are correct?

  1. ISM Phase 1 was approved in December 2021 with an outlay of Rs 76,000 crore, whereas Semicon 2.0 carries an outlay of Rs 1,27,500 crore.
  2. Unlike Phase 1, Semicon 2.0 lays out an explicit technology roadmap targeting 3-nanometre and 2-nanometre nodes.
  3. Phase 1 was approved by the NITI Aayog, whereas Semicon 2.0 was approved by the Union Cabinet.
  • A. 1 and 2 only
  • B. 2 and 3 only
  • C. 1 and 3 only
  • D. 1, 2 and 3

Q4. In the semiconductor manufacturing roadmap under Semicon 2.0, the expression '2-nanometre node' most precisely refers to which one of the following?

  • A. A generation of process technology characterised by extremely small transistor feature sizes
  • B. The physical thickness of the silicon wafer used in fabrication
  • C. The width of the external pins on the packaged chip
  • D. The spacing maintained between two adjacent fabrication units in a cluster

Q5. The Mobile Phone Manufacturing Scheme (MPMS) is correctly described by which one of the following combinations of approving authority and scheme period?

  • A. Approved by the Union Cabinet; runs from FY 2026-27 to FY 2030-31
  • B. Approved by MeitY alone; runs from FY 2025-26 to FY 2029-30
  • C. Approved by the Union Cabinet; runs from FY 2024-25 to FY 2028-29
  • D. Approved by the NITI Aayog; runs from FY 2026-27 to FY 2031-32

Q6. The Mobile Phone Manufacturing Scheme (MPMS) has been approved for a scheme tenure of how many years?

  • A. Three years
  • B. Four years
  • C. Five years
  • D. Six years

Q7. Following the 2022 amendment to the India Semiconductor Mission, semiconductor fabrication projects such as Micron's Sanand unit became eligible for uniform central fiscal support of up to what percentage of the project cost?

  • A. 20 per cent
  • B. 30 per cent
  • C. 40 per cent
  • D. 50 per cent

Q8. With reference to Micron's semiconductor facility at Sanand, consider the following: 1. The facility is located in Gujarat. 2. It is an Assembly, Testing, Marking and Packaging (ATMP) unit. 3. Its project received central fiscal support of 50 per cent on a pari-passu basis. 4. It is a silicon-wafer fabrication (fab) unit producing advanced logic chips. Which of the above is/are correctly identified?

  1. The facility is located in Gujarat.
  2. It is an Assembly, Testing, Marking and Packaging (ATMP) unit.
  3. Its project received central fiscal support of 50 per cent on a pari-passu basis.
  4. It is a silicon-wafer fabrication (fab) unit producing advanced logic chips.
  • A. 1, 2 and 3
  • B. 1, 3 and 4
  • C. 2 and 4 only
  • D. 1, 2, 3 and 4

Q9. The appraisal and implementation of the semiconductor projects approved under the India Semiconductor Mission is carried out by a body that functions as an independent business division under which one of the following?

  • A. Digital India Corporation, under the Ministry of Electronics and Information Technology
  • B. NITI Aayog
  • C. Department for Promotion of Industry and Internal Trade, Ministry of Commerce and Industry
  • D. Ministry of Heavy Industries

Q10. In the Union Budget 2026-27, the outlay of the Electronics Component Manufacturing Scheme (ECMS) was enhanced to which one of the following figures?

  • A. Rs 40,000 crore
  • B. Rs 22,919 crore
  • C. Rs 76,000 crore
  • D. Rs 62,500 crore

Q11. Consider the following entities said to function as independent business divisions under the Digital India Corporation: 1. India Semiconductor Mission (ISM) 2. Bhashini 3. IndiaAI 4. Centre for Development of Advanced Computing (C-DAC) Which of the above is/are NOT correctly listed?

  1. India Semiconductor Mission (ISM)
  2. Bhashini
  3. IndiaAI
  4. Centre for Development of Advanced Computing (C-DAC)
  • A. 1 only
  • B. 2 and 3 only
  • C. 4 only
  • D. 1 and 4 only

Q12. Consider the following statements about the goals of Semicon 2.0 relative to Phase 1 of the India Semiconductor Mission: 1. Whereas Phase 1 focused largely on fabrication and packaging, Semicon 2.0 additionally incentivises manufacturers of semiconductor equipment, chemicals, gases and materials with a flat 30 per cent incentive. 2. Semicon 2.0 provides support for chip design through a mix of grants and equity investment. 3. Semicon 2.0 targets total investment of Rs 4 lakh crore, of which exports are targeted at Rs 2 lakh crore. Which of the statements given above is/are correct?

  1. Whereas Phase 1 focused largely on fabrication and packaging, Semicon 2.0 additionally incentivises manufacturers of semiconductor equipment, chemicals, gases and materials with a flat 30 per cent incentive.
  2. Semicon 2.0 provides support for chip design through a mix of grants and equity investment.
  3. Semicon 2.0 targets total investment of Rs 4 lakh crore, of which exports are targeted at Rs 2 lakh crore.
  • A. 1 and 2 only
  • B. 2 and 3 only
  • C. 1 and 3 only
  • D. 1, 2 and 3